Lloyds and PPI top FOS complaints table

Nia Williams

March 5, 2013

FOS’ six-monthly complaints data found that Lloyd’s TSB was closely followed in the table by Barclays Bank (44,725) and Bank of Scotland (39,375).

The data published on the ombudsman’s website details consumer complaints handled by the ombudsman service between 1 July and 31 December 2012.

During the six-month period, the ombudsman service took on a record total of 283,251 new complaints – a 110% increase on the previous six months. Of these, 95% came from 197 financial businesses – out of more than 100,000 businesses covered by the ombudsman.

The five companies with the most new mortgage complaints during the six-month period were Bank of Scotland with 1087, Santander with 900, Northern Rock with 512, Barclays with 467 and NatWest with 300.

Matthew Parden, managing director of Duncan Lawrie Private Bank, said: “The story doesn’t seem to be getting any better for high street banks as complaints continue to rise.

“Most centre on the on-going payment protection insurance debacle, but while customers wait for their claims to be recognised some banks have had the audacity of turning the argument back on customers and blaming delays on the UK claims culture.

“Whilst not defending the sometimes insidious actions of claims management companies, these high street banks need to recognise their faults and admit that a claims culture can only exist when there are inherent faults within the system.

PPI complaints made up three quarters (74%) of the total complaints referred to the ombudsman during the second half of 2012 – with 211,885 new PPI complaints compared to 85,562 in the previous period.

Five financial services groups accounted for 78% of all new PPI cases received between 1 July and 31 December 2012. In total, the ombudsman has received more than 600,000 complaints about PPI.

Across all individual businesses included in the data, the uphold rate for PPI complaints ranged from the ombudsman finding in the consumer’s favour 97% of the time, to businesses where only 6% of complaints were upheld against them.

Commenting on the complaint statistics released today, Natalie Ceeney, chief executive and chief ombudsman, said: “The number of PPI complaints has continued to increase at unprecedented levels and we are now regularly taking on around 2,000 new cases each day.

“Over the last year or so, we have geared up substantially to deal with these record complaint numbers and we are now resolving more cases each week than ever before.”

However Ceeney warned that complaint levels show no sign of slowing and that consumers increasingly have to wait longer to get their complaints sorted with many businesses still continuing to cause unnecessary delays.

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